Due to complicated fees and a lot of fine print, banking can quickly get expensive with many high-street banks. One of the reasons why eccounts have caught on with the general public is that they are based on a strikingly simple fee structure and don’t require a degree in rocket science to understand.
We caught up with Will Thomas of eccount money to find out more behind their fee strategy.
Eccount money believe in treating all customers fairly, that’s why we guarantee to accept any applicant that can prove their identity and UK address sufficiently. We don’t make any credit checks, so customers with a previous history of bad credit, including, for example, bankruptcy, CCJ or Debt management, can still open an eccount money current account.
We don’t provide overdrafts or charge for unpaid and bounced payments. So if you find yourself without sufficient funds to pay a bill or make a payment, we simply won’t send the payment. This means that you can manage your money easily, knowing that we’ll charge you £12.50 per month with no unexpected charges.
Precisely. Some highstreet banks have been known to charge £30 for straying into unarranged overdrafts, and these charges can quickly rack up. The eccount management tools available help customers manage their money easily, by preventing overspending and promote budgeting.
This depends on how customers use the eccount and VISA card. We have found that the previous approach to banking by many UK banks – one size fits all – does not work for many individuals. Although the bank accounts are promoted as FREE, they are riddled with charges such as overdraft fees, interest rates, late payment fees etc. Our approach is to charge a set monthly fee of £12.50 which covers the general running of the eccount and card.
We do also charge some usage fees such as a 50 pence ATM withdrawal fee. But whilst this is seen as a charge for withdrawing money, it simply covers the cost of the customer using a 3rd party’s ATM. Many UK banks have started preventing their customers from using cash machines of other banks and only allow cash withdrawals at their own cash machines. We believe that customers should be able to withdraw cash from any ATM location as access to certain machines owned by specific institutions can be prohibitive.
In short, customers will pay £12.50 per month plus any ATM fees. Point of Sale transactions in shops, restaurants or online are FREE, so even if customers make 10 ATM withdrawals per month and send 5 standing orders or one off payments the total cost is only £17.50. Whereas at another bank the customer could pay £30 each time a standing order or payment is refused/bounced.
We recommend that customers follow these simple rules when managing their money:
We simply believe that encouraging and helping customers to manage their money effectively should be part of any bank’s portfolio. And it pays off: Although there is a monthly fee payable,
the eccount really is a cost effective alternative for consumers who want to gain greater control and a better understanding of their finances.